P. 1
Chapter 7 - Demand Management and Customer Service

Chapter 7 - Demand Management and Customer Service

|Views: 352|Likes:
Published by Arman

More info:

Categories:Types, Business/Law
Published by: Arman on Aug 11, 2011
Copyright:Attribution Non-commercial

Availability:

Read on Scribd mobile: iPhone, iPad and Android.
download as PPT, PDF, TXT or read online from Scribd
See more
See less

01/31/2015

pdf

text

original

A major component of demand management

is forecastingthe amount of product that will

be purchased by consumers or end users.

In the integrated supply chain all other

demand will be derived from the primary

demand.

A key objective is to anticipate and respond

to primary demand as it occurs in the

marketplace.

17

Figure 7-1

Supply-Demand Misalignment

18

Table 7-1 How Demand Management

Supports Business Strategy

19

Traditional Forecasting

An example of integrating forecasting with

production is illustrated by Figure 7-2.

Long-term (more than three years), midrange

(one to three years), and short-term

forecasting are each important contributors to

the forecasting process.

20

Figure 7-2 Integration of Sales

Forecasting and Production

21

Collaborative Planning,

Forecasting, and Replenishment

CDFR is recognized as a breakthrough

business model for planning, forecasting, and
replenishment.

Uses available Internet-based technologies to

collaborate from operational planning through
execution.

Developed by Wal-Mart and Warner-Lambert

in 1995.

22

Collaborative Planning,

Forecasting, and Replenishment

The CDFR model is illustrated in Figure 7-3.

Emphasizes a sharing of consumer

purchasing data among and between supply

chain partners.

Creates a direct link between the consumer

and the supply chain.

23

Figure 7-3

CPFR Business Model

24

Collaborative Planning,

Forecasting, and Replenishment

The plan and the forecast are entered by

suppliers and buyers into an Internet
accessible system.

Within established parameters, any of the

participating partners is empowered to
change the forecast.

Only a few CPFR initiatives have been made

public, but results are impressive.

25

You're Reading a Free Preview

Download
scribd
/*********** DO NOT ALTER ANYTHING BELOW THIS LINE ! ************/ var s_code=s.t();if(s_code)document.write(s_code)//-->